We’ll bring back tax-free shopping for tourists to boost BILLIONS into struggling high streets, Kemi Badenoch pledges

NewsPolitics TAX-FREE shopping for foreign tourists would be brought back under Tory plans to pump billions into struggling high streets. Kemi Badenoch has vowed to restore VAT refunds for eligible non-EU visitors, allowing them to claim back tax on goods they buy here and take home. The VAT refund scheme was scrapped in Great Britain in 2021 Credit: Getty Kemi says her plan could generate £4.1billion in extra spending for Britain’s shops Credit: Getty The Conservative says the move could attract up to 2.35million extra visitors to Britain. She also says the move may generate £4.1billion in extra spending for Britain’s shops, hotels and restaurants. Sign up for the Politics newsletter Thank you! Mrs Badenoch said: “Britain should be the place where the whole world comes to shop. “We have iconic retailers, inventive designers and brilliant manufacturers, but they are being let down by a tax policy that is chasing their customers away.” She added: “Why should we send shoppers away to France or Italy? “This attitude that we’re just helping wealthy tourists is ignorant of the reality that they bring much-needed income. “We have so much to offer – we should not be giving visitors a reason to go anywhere else.” The VAT refund scheme was scrapped in Great Britain in 2021, leaving overseas tourists unable to reclaim VAT on goods bought here and taken home. Most read in The Sun Under the Tory plans, tax-free shopping would initially return for non-EU visitors. Later it could potentially be extended to EU tourists if evidence shows it pays its way. Research by Cebr suggests a fully restored scheme could generate £1.56 in other taxes for every £1 of VAT refunded. The plans would be partly funded by a crackdown on unpaid NHS bills run up by overseas visitors. Foreigners who owe the health service money could be forced to pay up before visa applications or renewals are considered. In addition, hospital bosses would face targets for clawing back debts. Retail and hospitality heavyweights including Fortnum & Mason, Watches of Switzerland, the British Fashion Council and Sir Rocco Forte have backed the move. Comment now